In accordance with an embodiment, described herein is a system and method for providing commercial (advertisement) detection in digital media environments. A media stream, for example, a video stream of television shows or movies, can be analyzed either in advance or in realtime, to determine commercial segments or blocks within the media stream, and to distinguish them from (non-commercial) content segments or blocks. In accordance with an embodiment, frame features, black spaces, cue points, or other segment or block information can be used to improve the accuracy and precision with which commercials are identified. Particular commercials can be identified, together with information as to the location of those commercials within the media stream. In accordance with an embodiment, the media streams can be used within an on-demand cloud-based media environment, which allows a user to select within a plurality of media channels, or to locate or skip particular commercials.